☒ QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For
the quarterly period ended December 31, 2018

☐ TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For
the transition period from

Commission
File No. 333-220790

ZANDER
THERAPEUTICS, INC.

(Exact
name of small business issuer as specified in its charter)

Nevada

47-4321638

(State
or other jurisdiction of incorporation or organization)

(I.R.S.
Employer Identification No.)

4700
Spring Street, St 304, La Mesa, California 91942

(Address
of Principal Executive Offices)

(619)-702-1404

(Issuer’s
telephone number)

(Former
name, address and fiscal year, if changed since last report)

Check
whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding
12 months (or for such shorter period that the issuer was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.

Yes ☒ No ☐

Indicate
by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive
Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the
preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes ☒
No ☐

Indicate
by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated
filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

☐ Large
accelerated filer

☐ Accelerated
filer

☐ Non-accelerated
filer

☒ Smaller
reporting company

APPLICABLE
ONLY TO CORPORATE ISSUERS:

As
of December 31, 2018 there were 6,033,001 shares of common stock issued and outstanding.

Indicate by check mark whether the registrant
is a shell company (as defined in Rule 12b-2 of the Exchange Act):

Yes ☐ No ☒

Transitional
Small Business Disclosure Format (Check One)

Yes ☐ No ☒

1

PART
I - FINANCIAL INFORMATION

ITEM
1. FINANCIAL STATEMENTS

Zander Therapeutics, Inc

BALANCE SHEET

As
of

December
31, 2018

(unaudited)

As
of

June
30,

2018

ASSETS

CURRENT ASSETS

Cash

71,345

370,313

Prepaid Expenses, Related
Parties

11,390

66,239

Prepaid Expenses

6,387

650

Due From Related Party

35,000

Accrued Interest Receivable

4,363

Total Current Assets

93,485

472,202

OTHER ASSETS

Convertible Note Receivable,
Related Party

350,000

Investment Securities,
Related Party

14,700

Derivative Asset, Related
Party

555,555

TOTAL OTHER ASSETS

920,255

Total Assets

1,013,740

472,202

LIABILITIES

Current Liabilities:

Accounts Payable

1,363,802

1,087,969

Accrued Expenses

36,051

11,593

Total Current Liabilities

1,399,853

1,099,562

Total Liabilities

1,399,853

1,099,562

STOCKHOLDER'S EQUITY

Common Stock, Authorized 100,000,000, $0.0001
Par Value 4,758,001 shares and 6,033,001 shares issued and outstanding as of June 30, 2018 and December 31, 2018 respectively

603

475

Preferred Stock, $0.0001 par value Authorized 50,000,000
as of December 31, 2018 and June 30, 2018

Series M Preferred Stock, $0.0001 par, Authorized
10,000,000 as of December 31, 2018 and June 30,2018 9,000,000 shares outstanding as of June 30, 2018 and December 31, 2018
Respectively

900

900

Common Stock subscribed
for but unissued , 100,000 and 0 shares as of June 30, 2018 and December 31, 2018 respectively

The Accompanying
Notes are an Integral Part of These Financial Statements

4

ZANDER
THERAPEUTICS, INC.

Notes
to Financial Statements

As
of December 31, 2018

(unaudited)

The
accompanying unaudited interim condensed financial statements of Zander Therapeutics, Inc. (“Zander” or “the
Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America
and the rules of the United States Securities and Exchange Commission (“SEC”), and should be read in conjunction with
the audited financial statements and notes thereto contained in the Company’s annual report filed with the SEC on Form 10-K
for the year ended June 30, 2018. In general, interim disclosures do not repeat those contained in the annual statements. In the
opinion of management, all adjustments consisting of normal recurring adjustments necessary for a fair presentation of financial
position and the results of operations for the interim periods presented have been reflected herein. The results of operations
for interim periods are not necessarily indicative of the results to be expected for the full year.

NOTE
1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Zander
Therapeutics , Inc. (“Company”) was organized June 18, 2015 under the laws of the State of Nevada.

The
Company intends to engage primarily in the development of veterinary medical applications which we intend to license from other
entities as well as develop internally.

A.
BASIS OF ACCOUNTING

The
financial statements have been prepared using the basis of accounting generally accepted in the United States of America. Under
this basis of accounting, revenues are recorded as earned and expenses are recorded at the time liabilities are incurred. The
Company has adopted a June 30year-end.

B.
USE OF ESTIMATES

The
preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual
results could differ from those estimates.

C.
CASH EQUIVALENTS

The
Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents.

D.
PROPERTY AND EQUIPMENT

Property
and equipment are recorded at cost. Maintenance and repairs are expensed in the year in which they are incurred. Expenditures
that enhance the value of property and equipment are capitalized.

E.
FAIR VALUE OF FINANCIAL INSTRUMENTS

Fair
value is the price that would be received for an asset or the exit price that would be paid to transfer a liability in the principal
or most advantageous market in an orderly transaction between market participants on the measurement date. A fair value
hierarchy requires an entity to maximize the use of observable inputs, where available. The following summarizes the three levels
of inputs required by the standard that the Company uses to measure fair value:

Level
2: Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in
markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially
the full term of the related assets or liabilities.

Level
3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of
the assets or liabilities.

5

F.
INCOME TAXES

The
Company accounts for income taxes using the liability method prescribed by ASC 740, “Income Taxes.” Under this method,
deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets
and liabilities using enacted tax rates that will be in effect in the year in which the differences are expected to reverse. The
Company records a valuation allowance to offset deferred tax assets if based on the weight of available evidence, it is more-likely-than-not
that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rates
is recognized as income or loss in the period that includes the enactment date.

The
Company applied the provisions of ASC 740-10-50, “Accounting For Uncertainty In Income Taxes”, which provides clarification
related to the process associated with accounting for uncertain tax positions recognized in our financial statements. Audit periods
remain open for review until the statute of limitations has passed. The completion of review or the expiration of the statute
of limitations for a given audit period could result in an adjustment to the Company’s liability for income taxes. Any such
adjustment could be material to the Company’s results of operations for any given quarterly or annual period based, in part,
upon the results of operations for the given period. As of December 31, 2018 the Company had no uncertain tax positions,
and will continue to evaluate for uncertain positions in the future.

The
Company generated a deferred tax credit through net operating loss carry forward. However, a valuation allowance of 100%
has been established.

Interest
and penalties on tax deficiencies recognized in accordance with ACS accounting standards are classified as income taxes in accordance
with ASC Topic 740-10-50-19.

G.
BASIC EARNINGS (LOSS) PER SHARE

The
Financial Accounting Standards Board (FASB) issued Accounting Standards Codification (ASC) 260, "Earnings Per Share",
which specifies the computation, presentation and disclosure requirements for earnings (loss) per share for entities with publicly
held common stock. ASC 260 requires the presentation of basic earnings (loss) per share and diluted earnings (loss) per share.
The Company has adopted the provisions of ASC 260 effective from inception.

Basic
net loss per share amounts is computed by dividing the net income by the weighted average number of common shares outstanding.

H.
ADVERTISING

Costs
associated with advertising are charged to expense as incurred. Advertising expenses were $0 for the quarter ended December 31,
2018.

I.
RESEARCH AND DEVELOPMENT COSTS

Research
and development expenses relate primarily to the cost of discovery and research programs. Research and development costs are charged
to expense as incurred. Research and development expenses consist mainly of License Fees paid to Regen Biopharma, Inc. and others
, and fees paid to consultants.

License
Fees paid to Regen Biopharma, Inc. and others are accrued over the course of the reporting period. The Companies make payments
to consultants based on agreed-upon terms and the Company generally accrues expenses based on services performed or over the term
of the agreement, as applicable.

6

J.
STOCK BASED COMPENSATION

Stock
issued for Non-Employee Services

Stock
Based compensation to non-employees is accounted for in accordance with ASC 505-50. ASC 505-50 requires entities to account for
non-employee equity transactions based on either the fair value of the services received or the fair value of the equity instrument
issued utilizing whichever measurement is most reliable

Pursuant
to ASC 505-50-30-11 an issuer shall measure the fair value of the equity instruments in these transactions using the stock
price and other measurement assumptions as of the earlier of the following dates, referred to as the measurement date:

i.

The
date at which a commitment for performance by the counterparty to earn the equity instruments
is reached (a performance commitment); and

ii.

The
date at which the counterparty’s performance is complete.

Stock
issued for Employee Compensation

Stock
based compensation to employees is accounted for at the award’s fair value at grant, less the amount (if any) paid by the
award recipient.

K.
DERIVATIVE ASSETS AND LIABILITIES.

The
Company evaluates convertible debt, options, warrants or other contracts, if any, to determine if those contracts or embedded
components of those contracts qualify as derivatives to be separately accounted for in accordance with ASC 815 of the FASB Accounting
Standards Codification. The result of this accounting treatment is that the fair value of the embedded derivative is marked-to-market
each balance sheet date and recorded as either an asset or a liability. In the event that the fair value is recorded as a liability,
the change in fair value is recorded in the consolidated statement of operations.

The
Company analyzes the conversion feature of its Convertible Note Receivable for derivative accounting consideration under ASC 815-15
“Derivatives and Hedging. ASC 815-15 requires that the conversion features are bifurcated and separately accounted for as
an embedded derivative contained in the convertible debt. The embedded derivative is carried on the balance sheet at fair value.
Any unrealized change in fair value, as determined at each measurement period, is recorded as a component of the income statement
and the associated carrying amount on the balance sheet is adjusted by the change. The Company values the embedded derivative
using the Black-Scholes pricing model

The
Black Scoles pricing model used to determine the Derivative Assets on a convertible notes owned by the Company in which an embedded
derivative is recognized as of December 31, 2018 utilized the following inputs:

Risk Free
Interest Rate

2.48

%

Expected Term

1.75
Yrs

Expected Volatility

284.6

%

Expected Dividends

0

L.
INVESTMENT SECURITIES

The
Company measures equity investments (except those accounted for under the equity method and those that result in consolidation
of the investee) at fair value and recognizes any changes in fair value in net income.

7

NOTE
2 . RECENT ACCOUNTING PRONOUNCEMENTS

June
2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-10, which eliminated certain financial
reporting requirements of companies previously identified as "Development Stage Entities" (Topic 915). The amendments
in this ASU simplify accounting guidance by removing all incremental financial reporting requirements for development stage entities.
The amendments also reduce data maintenance and, for those entities subject to audit, audit costs by eliminating the requirement
for development stage entities to present inception-to-date information in the statements of income, cash flows, and shareholder
equity. Early application of each of the amendments is permitted for any annual reporting period or interim period for which the
entity's financial statements have not yet been issued (public business entities) or made available for issuance (other entities).
Upon adoption, entities will no longer present or disclose any information required by Topic 915. The Company has adopted this
standard.

The
following accounting standards updates were recently issued and have not yet been adopted by the Company. These standards are
currently under review to determine their impact on the Company’s consolidated financial position, results of operations,
or cash flows.

In
May 2014, FASB issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers. The revenue recognition
standard affects all entities that have contracts with customers, except for certain items. The new revenue recognition standard
eliminates the transaction-and industry-specific revenue recognition guidance under current GAAP and replaces it with a principle-based
approach for determining revenue recognition. Public entities are required to adopt the revenue recognition standard for reporting
periods beginning after December 15, 2016, and interim and annual reporting periods thereafter. Early adoption is not permitted
for public entities. The Company has reviewed the applicable ASU and has not, at the current time, quantified the effects of this
pronouncement, however it believes that there will be no material effect on the consolidated financial statements.

In
June 2014, FASB issued Accounting Standards Update (ASU) No. 2014-12 Compensation — Stock Compensation (Topic 718), Accounting
for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service
Period. A performance target in a share-based payment that affects vesting and that could be achieved after the requisite service
period should be accounted for as a performance condition under Accounting Standards Codification (ASC) 718, Compensation —
Stock Compensation. As a result, the target is not reflected in the estimation of the award's grant date fair value. Compensation
cost would be recognized over the required service period, if it is probable that the performance condition will be achieved.
The guidance is effective for annual periods beginning after 15 December 2015 and interim periods within those annual periods.
Early adoption is permitted. The Company has reviewed the applicable ASU and has not, at the current time, quantified the effects
of this pronouncement, however it believes that there will be no material effect on the consolidated financial statements.

In
August 2014, FASB issued Accounting Standards Update (ASU) No. 2014-15 Preparation of Financial Statements – Going Concern
(Subtopic 205-40), Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. Under generally accepted
accounting principles (GAAP), continuation of a reporting entity as a going concern is presumed as the basis for preparing financial
statements unless and until the entity's liquidation becomes imminent. Preparation of financial statements under this presumption
is commonly referred to as the going concern basis of accounting. If and when an entity's liquidation becomes imminent, financial
statements should be prepared under the liquidation basis of accounting in accordance with Subtopic 205-30, Presentation of Financial
Statements—Liquidation Basis of Accounting. Even when an entity's liquidation is not imminent, there may be conditions or
events that raise substantial doubt about the entity's ability to continue as a going concern. In those situations, financial
statements should continue to be prepared under the going concern basis of accounting, but the amendments in this Update should
be followed to determine whether to disclose information about the relevant conditions and events. The amendments in this Update
are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early
application is permitted. The Company will evaluate the going concern considerations in this ASU, however, at the current period,
management does not believe that it has met the conditions which would subject these financial statements for additional disclosure.

In
January 2016, the FASB issued Accounting Standards Update No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition
and Measurement of Financial Assets and Financial Liabilities. ASU 2016-01 requires that equity investments (except those accounted
for under the equity method of accounting or those that result in consolidation of the investee) are to be measured at fair value
with changes in fair value recognized in net income. The Company has adopted ASU 2016-01 effective the fiscal year ending 2019
.

8

NOTE
3. GOING CONCERN

The
accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company generated
net losses of $3,336,182 during the period from June 18, 2015 (inception) through December 31, 2018. This condition raises substantial
doubt about the Company's ability to continue as a going concern. The Company's continuation as a going concern is dependent on
its ability to meet its obligations, to obtain additional financing as may be required and ultimately to attain profitability.
The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Management
plans to raise additional funds by offering securities for cash. Management has yet to decide what type of offering the Company
will use or how much capital the Company will raise. There is no guarantee that the Company will be able to raise any capital
through any type of offerings.

NOTE
4. INCOME TAXES

As
of December 31, 2018

Deferred tax assets:

Net
operating tax carry forwards

$

700,598

Other

-0-

Gross deferred tax
assets

$

700,598

Valuation
allowance

$

(700,598

)

Net
deferred tax assets

$

-0-

As
of December 31, 2018 the Company has a Deferred Tax Asset of $700,598 completely attributable to net operating
loss carry forwards of approximately $3,336,182 .

In
addition, if as a result of a stock transfer or a reorganization, a corporation undergoes an “ownership change,” Code
Section 382 limits the corporation’s right to use its NOLs each year thereafter to an annual percentage of the fair market
value of the corporation at the time of the ownership change (the “Section 382 Limitation”).

A
corporation is considered to undergo “an ownership change” if, as a result of changes in the stock ownership by “5-percent
shareholders” or as a result of certain reorganizations, the percentage of the corporation’s stock owned by those
5-percent shareholders increases by more than 50 percentage points over the lowest percentage of stock owned by those shareholders
at any time during the prior three-year testing period. Five-percent shareholders are persons who hold 5% or more of the stock
of a corporation at any time during the testing period as well as certain groups of shareholders (based typically on whether they
acquired their shares in a single offering or exchange transaction) who are not individually 5-percent shareholders.

As
the Company will require cash infusions in order to implement its business plan, and as it is probable, although not guaranteed,
that such funding needs may be met through the sale of equity securities to “5-percent shareholders”, the Company
recognized a valuation allowance equal to the deferred Tax Asset and the Company recorded a valuation allowance reducing all deferred
tax assets to 0.

Income
tax is calculated at the 21% Federal Corporate Rate. (which expire 20 years from the date the loss was incurred)

Realization
of deferred tax assets is dependent upon sufficient future taxable income during the period that deductible temporary differences
and carry forwards are expected to be available to reduce taxable income. The achievement of required future taxable income is
uncertain.

9

NOTE
5. RELATED PARTY TRANSACTIONS.

On
June 23, 2015 Regen Biopharma, Inc. ( “Regen”) entered into an agreement (“Agreement”) with The Company
whereby Regen granted to The Company an exclusive worldwide right and license for the development and commercialization of certain
intellectual property controlled by Regen (“ License IP”) for non-human veterinary therapeutic use for a term of fifteen
years.

Pursuant
to the Agreement, The Company shall pay to Regen one-time, non-refundable, upfront payment of one hundred thousand US dollars
($100,000) as a license initiation fee which must be paid within 90 days of June 23, 2015 and an annual non-refundable payment
of one hundred thousand US dollars ($100,000) on July 15th, 2016 and each subsequent anniversary of the effective date
of the Agreement

The
abovementioned payments may be made, at The Company’s discretion, in cash or newly issued common stock of The Company.

Pursuant
to the Agreement, The Company shall pay to Regen royalties equal to four percent (4%) of the Net Sales , as such term is defined
in the Agreement, of any Licensed Products, as such term is defined in the Agreement, in a

Pursuant
to the Agreement, The Company will pay Regen ten percent (10%) of all consideration (in the case of in-kind consideration, at
fair market value as monetary consideration) received by The Company from sublicensees ( excluding royalties from sublicensees
based on Net Sales of any Licensed Products for which Regen receives payment pursuant to the terms and conditions of the Agreement).

The
Company is obligated pay to Regen minimum annual royalties of ten thousand US dollars ($10,000) payable per year on each anniversary
of the Effective Date of this Agreement, commencing on the second anniversary of June 23, 2015. This minimum annual royalty is
only payable to the extent that royalty payments made during the preceding 12-month period do not exceed ten thousand US dollars
($10,000).

The
Agreement may be terminated by Regen:

If
The Company has not sold any Licensed Product by ten years of the effective date of the Agreement or The Company has not sold
any Licensed Product for any twelve (12) month period after The Company’s first commercial sale of a Licensed Product.

The
Agreement may be terminated by The Company with regard to any of the License IP if by five years from the date of execution of
the Agreement a patent has not been granted by the United States patent and Trademark Office to Regen with regard to that License
IP.

The
Agreement may be terminated by The Company with regard to any of the License IP if a patent that has been granted by the United
States patent and Trademark Office to Regen with regard to that License IP is terminated.

The
Agreement may be terminated by either party in the event of a material breach by the other party.

On
December 17, 2018 Regen Biopharma, Inc.(“Licensor”) , KCL Therapeutics, Inc. (“Assignee”) and Zander Therapeutics,
Inc. (“Licensee”) entered into a LICENSE ASSIGNMENT AND CONSENT AGREEMENT whereby, with regards to certain intellectual
property which was assigned by Regen Biopharma, Inc.(“Assigned Properties”) to its wholly owned subsidiary KCL Therapeutics,
Inc., Licensor hereby transfers and assigns to Assignee all rights, duties, and obligations of Licensor under the Agreement with
respect to the Assigned Properties , and Assignee agrees to assume such duties and obligations thereunder and be bound to the
terms of the Agreement with respect thereto.

10

Zander
and Regen are under common control. David Koos serves as Chairman & CEO of both Regen BioPharma, Inc. and Zander Therapeutics
Inc. Harry Lander serves as President and Chief Scientific Officer of both Regen BioPharma, Inc. and Zander Therapeutics, Inc.
Todd S. Caven serves as CFO of both Regen BioPharma, Inc. and Zander Therapeutics Inc. Koos, Lander and Caven also serve as Directors
of Zander Therapeutics, Inc. Zander Therapeutics, Inc. is the sole licensee of Regen's NR2F6 intellectual property for veterinary
applications.

As
of December 31, 2018 Zander Therapeutics, Inc. has prepaid $11,390 of fees due to Regen pursuant to the Agreement.

On
September 30, 2018 Regen Biopharma, Inc. (“Regen”) issued a convertible promissory note in the principal amount of
$350,000 (“Note”) to Zander Therapeutics, Inc. (“Zander”). Consideration for the Note consisted of $350,000.
A one time interest charge of 10% of the principal amount shall be applied to the principal amount of the Note. The Maturity Date
is twenty four months after September 30, 2018 and is the date upon which the Principal Sum of this Note, as well as any unpaid
interest and other fees, shall be due and payable.

Zander
has the right, at any time after the September 30, 2018, at its election, to convert all or part of the outstanding and unpaid
Principal Sum and accrued interest (and any other fees) into shares of fully paid and non-assessable shares of Series A Preferred
stock of Regen as per this conversion formula: Number of shares receivable upon conversion equals the dollar conversion amount
divided by the Conversion Price. The Conversion Price is the greater of $0.0001 or 60% of the lowest trade price in the 25 trading
days previous to the conversion. Zander, at any time prior to selling all of the shares from a conversion, may, for any reason,
rescind any portion, in whole or in part, of that particular conversion attributable to the unsold shares and have the rescinded
conversion amount returned to the Principal Sum with the rescinded conversion shares returned to Regen.

On
November 16, 2018 Zander and Entest CA agreed to terminate Zander’s sublease with Entest CA effective the rental period
commencing November, 2018.

David
R. Koos, who serves as Chairman and Chief Executive Officer of Zander also serves as Chairman and Chief Executive Officer of Entest
CA.

On
November 16, 2018 Zander entered into a sublease agreement with BST Partners (“BST”) whereby Zander would sublet office
space located at 4700 Spring Street, Suite 304, La Mesa, California 91942 from BST on a month to month basis for $6,000 per month
beginning November 5, 2018.

BST
is controlled by David Koos, Zander’s Chairman and Chief Executive Officer.

NOTE
6. INVESTMENT SECURITIES

On
July 3, 2018 the Company purchased 3,500,000 of the Series A Preferred shares of Regen Biopharma, Inc from Entest Group, Inc.
for consideration consisting of $35,000 .

The
Series A Preferred shares of Regen Biopharma, Inc. described above constitute the Company’s sole investment securities as
of December 31, 2018.

As
of December 31, 2018:

3,500,000

Series
A Preferred shares of Regen Biopharma, Inc

Basis

Fair
Value

Total
Unrealized Loss

Net
Unrealized Gain or (Loss) during the quarter ended December 31, 2018

$

35,000

$

14,700

$

(20,300)

$

(46,550)

The
Chairman and Chief Executive Officer of Regen is David R. Koos who also serves as the Chairman and Chief Executive Officer of
the Company.

The
President of Regen is Harry Lander who also serves as President of the Company.

The
Chief Financial Officer of Regen is Todd Caven who also serves as Chief Financial Officer of the Company.

11

NOTE
7. CONVERTIBLE NOTE RECEIVABLE

On
September 30, 2018 Regen Biopharma, Inc. (“Regen”) issued a convertible promissory note in the principal amount of
$350,000 (“Note”) to Zander Therapeutics, Inc. (“Zander”). Consideration for the Note consisted of $350,000.
A one time interest charge of 10% of the principal amount shall be applied to the principal amount of the Note. The Maturity Date
is twenty four months after September 30, 2018 and is the date upon which the Principal Sum of this Note, as well as any unpaid
interest and other fees, shall be due and payable.

Zander
has the right, at any time after the September 30, 2018, at its election, to convert all or part of the outstanding and unpaid
Principal Sum and accrued interest (and any other fees) into shares of fully paid and non-assessable shares of Series A Preferred
stock of Regen as per this conversion formula: Number of shares receivable upon conversion equals the dollar conversion amount
divided by the Conversion Price. The Conversion Price is the greater of $0.0001 or 60% of the lowest trade price in the 25 trading
days previous to the conversion. Zander, at any time prior to selling all of the shares from a conversion, may, for any reason,
rescind any portion, in whole or in part, of that particular conversion attributable to the unsold shares and have the rescinded
conversion amount returned to the Principal Sum with the rescinded conversion shares returned to Regen.

The
Company analyzed the conversion feature of the Note for derivative accounting consideration under ASC 815-15 “Derivatives
and Hedging” and determined that the embedded conversion feature should be classified as an asset. ASC 815-15 requires that
the conversion features are bifurcated and separately accounted for as an embedded derivative contained in the Company’s
convertible debt. The embedded derivative is carried on the balance sheet at fair value. Any unrealized change in fair value,
as determined at each measurement period, is recorded as a component of the income statement and the associated carrying amount
on the balance sheet is adjusted by the change.

The
Company values the embedded derivative using the Black-Scholes pricing model and a derivative asset of $555,555 was recognized
by the Company as of December 31, 2018.

Zander
and Regen are under common control. David Koos serves as Chairman & CEO of both Regen BioPharma, Inc. and Zander Therapeutics
Inc. Harry Lander serves as President and Chief Scientific Officer of both Regen BioPharma, Inc. and Zander Therapeutics, Inc.
Todd S. Caven serves as CFO of both Regen BioPharma, Inc. and Zander Therapeutics Inc. Koos, Lander and Caven also serve as Directors
of Zander Therapeutics, Inc. Zander Therapeutics, Inc. is the sole licensee of Regen's NR2F6 intellectual property for veterinary
applications.

NOTE
8. STOCKHOLDERS' EQUITY

The
stockholders' equity section of the Company contains the following classes of capital stock as December 31, 2018:

With
respect to each matter submitted to a vote of stockholders of the Corporation, each holder of Common Stock shall be entitled to
cast that number of votes which is equivalent to the number of shares of Common Stock owned by such holder times one (1).

12

On
any voluntary or involuntary liquidation, dissolution or winding up of the Corporation, the holders of the Common Stock shall
receive, out of assets legally available for distribution to the Company's stockholders, a ratable share in the assets of the
Corporation.

(a)
10,000,000 is designated as Series M Preferred Stock: 9,000,000 shares of Series M Preferred Stock are issued and outstanding
as of December 31, 2018

With
respect to each matter submitted to a vote of stockholders of the Corporation, each holder of Series M Preferred Stock shall be
entitled to cast that number of votes which is equivalent to the number of shares of Series M Preferred Stock owned by such holder
times one (1).

On
any voluntary or involuntary liquidation, dissolution or winding up of the Corporation, the holders of the Series M Preferred
Stock shall receive, out of assets legally available for distribution to the Company's stockholders, a ratable share in the assets
of the Corporation.

(b)
1,000,000 is designated as Series AA Preferred Stock: 200 shares of Series AA Preferred Stock are issued and outstanding as of
December 31, 2018,

With
respect to each matter submitted to a vote of stockholders of the Corporation, each holder of Series AA Preferred Stock shall
be entitled to cast that number of votes which is equivalent to the number of shares of Series AA Preferred Stock owned by such
holder times 10,000 (10,000).

On
any voluntary or involuntary liquidation, dissolution or winding up of the Corporation, the holders of the Series AA Preferred
Stock shall receive, out of assets legally available for distribution to the Company's stockholders, a ratable share in the assets
of the Corporation.

NOTE
9. PRIOR PERIOD ADJUSTMENTS

The
Company has adjusted Research and Development Expenses for the Period ended September 30, 2018 in the following manner:

Research
and Development Expenses recognized for the period ended September 30, 2018 has been increased by $6,397

The
aforementioned adjustments have resulted in an increase in Net Loss for the period ended September 30, 2018 as originally reported
of $6,397.

13

ITEM
2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

CERTAIN
FORWARD-LOOKING INFORMATION

Information
provided in this Quarterly report on Form 10Q may contain forward-looking statements within the meaning of Section 21E or Securities
Exchange Act of 1934 that are not historical facts and information. These statements represent the Company's expectations or beliefs,
including, but not limited to, statements concerning future and operating results, statements concerning industry performance,
the Company's operations, economic performance, financial conditions, margins and growth in sales of the Company's products, capital
expenditures, financing needs, as well assumptions related to the forgoing. For this purpose, any statements contained in this
Quarterly Report that are not statement of historical fact may be deemed to be forward-looking statements. These forward-looking
statements are based on current expectations and involve various risks and uncertainties that could cause actual results and outcomes
for future periods to differ materially from any forward-looking statement or views expressed herein. The Company's financial
performance and the forward-looking statements contained herein are further qualified by other risks including those set forth
from time to time in the documents filed by the Company with the Securities and Exchange Commission, including the Company's most
recent Form 10K for the year ended June 30, 2018. All references to” We”, “Us”, “Company”
or the “Company” refer to Zander Therapeutics, Inc.

As
of June 30, 2018 we had Cash of $370,313 and as of December 31, 2018 we had Cash of $71,345.

The
decrease in Cash of approximately 80.7% is primarily attributable to the cost of operating the Company’s business partially
offset by the sale of $800,000 of common stock by the Company during the quarter ended September 30, 2018 .

As
of June 30, 2018 we had Prepaid Expenses to Related parties of $66,239 and as of December 31 , 2018 we had prepaid expenses
to Related Parties of $11,390.

The
decrease in Prepaid Expenses to Related parties of 82% is attributable to:

(a)

The
recognition of $24,931 of expenses during the quarter ended September 30, 2018 attributable
to an annual anniversary fee of $100,000 due annually to Regen Biopharma, Inc. pursuant
to a license granted to Zander by Regen Biopharma, Inc.

(b)

The
recognition of $2,493 of expenses during the quarter ended September 30, 2018 attributable
to minimum royalties of $10,000 due annually to Regen Biopharma, Inc. pursuant to a license
granted to Zander by Regen Biopharma, Inc.

(c)

The
recognition of $24,931 of expenses during the quarter ended December 31, 2018 attributable
to an annual anniversary fee of $100,000 due annually originally to Regen Biopharma,
Inc. pursuant to a license granted to Zander by Regen Biopharma, Inc.

(d)

The
recognition of $2,493 of expenses during the quarter ended December 31, 2018 attributable
to minimum royalties of $10,000 due annually originally to Regen Biopharma, Inc. pursuant
to a license granted to Zander by Regen Biopharma, Inc.

14

On
December 17, 2018 Regen Biopharma, Inc.(“Licensor”) , KCL Therapeutics, Inc. (“Assignee”) and Zander Therapeutics,
Inc. (“Licensee”) entered into a LICENSE ASSIGNMENT AND CONSENT AGREEMENT whereby, with regards to certain intellectual
property which was assigned by Regen Biopharma, Inc.(“Assigned Properties”) to its wholly owned subsidiary KCL Therapeutics,
Inc., Licensor hereby transfers and assigns to Assignee all rights, duties, and obligations of Licensor under the Agreement with
respect to the Assigned Properties , and Assignee agrees to assume such duties and obligations thereunder and be bound to the
terms of the Agreement with respect thereto.

Zander
and Regen Biopharma, Inc. are under common control. David Koos serves as Chairman & CEO of both Regen BioPharma, Inc. and
Zander Therapeutics Inc. Harry Lander serves as President and Chief Scientific Officer of both Regen BioPharma, Inc. and Zander
Therapeutics, Inc. Todd S. Caven serves as CFO of both Regen BioPharma, Inc. and Zander Therapeutics Inc. Koos, Lander and Caven
also serve as Directors of Zander Therapeutics, Inc. KCL Therapeutics, Inc. is a wholly owned subsidiary of Regen BioPharma, Inc.
and is also under common control with Zander.

As
of June 30, 2018 we had Prepaid Expenses of $650 and as of December 31, 2018 we had Prepaid Expenses of $6,387.

The
increase in Prepaid Expenses of 89.8% is primarily attributable to $5745 prepaid of fees prepaid to a member of the Company’s
Business Advisory Board during the six months ended December 31, 2018.

As
of June 30, 2018 we had $35,000 due from related parties and as of December 31, 2018 we had $0 due from related Parties.

$35,000
due from related parties as of June 30, 2018 consists of funds advanced to Entest Group, Inc. by the Company in contemplation
of the purchase by the Company of 3,500,000 of the Series A preferred Shares of Regen Biopharma, Inc. owned by Entest Group, Inc.
from Entest Group, Inc. On July 3, 2018 Zander purchased the aforementioned 3,500,000 of the Series A preferred Shares of Regen
Biopharma, Inc. owned by Entest Group, Inc. from Entest Group, Inc. (“Entest”) for the price of $35,000 USD cash.
Entest Group, Inc. was a related party under common control until December 2018.

As
of June 30, 2018 we had Investment Securities of 0 and as of December 31, 2018 we had Investment Securities of $14,700.

On
July 3, 2018 Zander purchased the aforementioned 3,500,000 of the Series A preferred Shares of Regen Biopharma, Inc. owned by
Entest Group, Inc. from Entest Group, Inc. (“Entest”). The 3,500,000 of the Series A preferred Shares of Regen Biopharma,
Inc. purchased by Zander are carried at fair value as of the measurement date which is September 30, 2018. Zander and Regen Biopharma,
Inc. are under common control. David Koos serves as Chairman & CEO of both Regen BioPharma, Inc. and Zander Therapeutics Inc.
Harry Lander serves as President and Chief Scientific Officer of both Regen BioPharma, Inc. and Zander Therapeutics, Inc. Todd
S. Caven serves as CFO of both Regen BioPharma, Inc. and Zander Therapeutics Inc. Koos, Lander and Caven also serve as Directors
of Zander Therapeutics, Inc.

As
of June 30, 2018 we had Convertible Note Receivable of $0 and as of December 31, 2018 we had Convertible Note Receivable of $350,000.

On
September 30, 2018 Regen Biopharma, Inc. (“Regen”) issued a convertible promissory note in the principal amount of
$350,000 (“Note”) to Zander. Consideration for the Note consisted of $350,000. A one time interest charge of 10% of
the principal amount shall be applied to the principal amount of the Note. The Note is due and payable 24 months after the effective
date of the Note ( September 30, 2018). Zander may extend any maturity date in three month increments at Zander’s sole discretion.

15

As
of June 30, 2018 we had Accrued Interest Receivable of 0 and as of as of December 31, 2018 we had Accrued Interest Receivable
of $4,363.

Accrued
Interest Receivable of $4,363 earned during the quarter ended December 31, 2018 is attributable to interest earned on a convertible
promissory note in the principal amount of $350,000 issued to the Company by Regen Biopharma, Inc. on September 30, 2018.

As
of June 30, 2018 we had Derivative Assets of 0 and as of December 31, 2018 we had a Derivative Asset of $555,555.

The
increase in Derivative Assets is attributable to the recognition by the Company of an embedded conversion feature contained within
a $350,000 Convertible Note issued to the Company by Regen Biopharma, Inc.

As
of June 30, 2018 we had Accounts Payable of $1,087,969 and as of December 31, 2018 we had Accounts Payable of $1,363,802.

The
increase in Accounts Payable of 25.3 % is primarily attributable to $410,000 of fees payable to Contract Research Organizations
incurred during the quarter ended September 30, 2018 offset by payment of trade obligations during the six months ended December
31, 2018.

As
of June 30, 2018 we had Accrued Expenses of $11,593 and as of December 31, 2018 we had Accrued Expenses of $36,051.

The
increase in accrued expenses of 211% is primarily attributable to:

(a)

Accrual
of $33,334 of salaries unpaid to Company officers during the quarter ended December 31,2018

(b)

Accrual
of $568 of licensing fees payable to Monash University pursuant to an exclusive, royalty
bearing, non-transferrable worldwide License granted to the Company to use certain intellectual
property owned or controlled by Monash University “(Licensed Intellectual Property”)
to research, develop, manufacture, market, use, import, offer for sale and sell drugs
and/or therapies for animal health incorporating the Licensed Intellectual Property.

Offset
by

Payment
of $9,444 of salary Accrued but unpaid due to the Company’s Chief Executive Officer during the quarter ended September 30,
2018.

Material
Changes in Results of Operations

Revenues
from continuing operations were $0 for the quarter ended December 31, 2018 and -0- for the same period ended 2017. Net Loss was
$1,204,486 for the quarter ended December 31, 2018 while Net Loss was $166,637 for the same period ended 2017.

The
largest component contributing to the increase of 622.82% in Net Loss for the quarter ended December 31, 2018 as compared to the
same quarter ended 2017 was an $861,110 unrealized loss on derivative assets recognized during the period ended 2018.

Operating
loss increased approximately 89.4% in the quarter ended December 31, 2018 as compared to the same period ended 2017.

16

The
increase in Operating Losses were primarily attributable to significant increases in Research and Development expenses, Rental
expenses and General and Administrative incurred during the quarter ended December 31, 2018 when compared to the same quarter
ended 2017. These losses were partially offset by decreases in Consulting Expenses incurred during the quarter ended December
31, 2018 when compared to the same period ended 2017.

Revenues
from continuing operations were $0 for the six months ended December 31, 2018 and -0- for the same period ended 2017. Net Loss
was $572,879 for the six months ended December 31, 2018 while Net Loss was $293,864 for the same period ended 2017.

The
largest components contributing to the increase of 94.9% in Net Loss for the six months ended December 31, 2018 as compared to
the same period ended 2017 were primarily attributable to a significant increase in Research and Development expenses, Rental
expenses Consulting Expenses and General and Administrative expenses incurred during the six months ended 2018 when compared to
the same period ended 2017. These losses were partially offset by thr recognition by the Company of a $555, 556 unrealized gain
on derivative assets recognized during the period ended 2018.

Operating
loss increased approximately 292.61% in the six months ended December 31, 2018 as compared to the same period ended 2017.

The
increase in Operating Losses were primarily attributable to significant increases in Research and Development expenses, Consulting
Expenses, Rental expenses and General and Administrative incurred during the six months ended December 31, 2018 when compared
to the same quarter ended 2017.

As
of December 31, 2018 we had $71,345 Cash on Hand and Current Liabilities of $1,399,853, such Liabilities consisting of Accounts
Payable and Accrued Expenses.

We
feel we will not be able to satisfy our cash requirements over the next twelve months and shall be required to seek additional
financing.

We
currently plan to raise additional funds primarily by offering securities for cash.

On
June 12, 2018 Zander Therapeutics, Inc. ( the “Company”) entered into an agreement with Dakoy Capital Markets, LLC
whereby the Company retained the services of Dakoy Capital Markets, LLC (“Placement Agent”) to assist the Company
in offering of shares of the Company (the “Securities” or “Shares”) for sale on a best efforts basis (“Offering”)
. Placement Agent is obligated to use its best efforts to introduce the Company to accredited investors, which may include corporations,
partnerships, mutual funds, hedge funds, investment partnerships, securities firms, lending and other institutions and entities,
as well as select high net worth individuals (collectively, the “Purchasers”) for the purposes of participating in
the Offering. The Company retains the right to employ other agents in connection with the sale of the Securities and the Offering
is anticipated to commence within 30 days of the execution of the abovementioned agreement.

As
compensation for its activities, the Placement Agent shall be paid a commission as follows:

A.

Cash
commission in an amount equal to seven percent (7%) of the total principal amount of
gross proceeds of any Securities purchased by investors first introduced to the Company
by the Placement Agent (“PA Investors”) and accepted by the Company (such
persons being hereinafter referred to as the “PA Investor(s)”), and

B.

Options
exercisable for five (5) years from the date the Offering closes, to purchase that number
of Shares equal to five percent (5%) of the number of Shares of Company sold in the Offering
to PA Investors (the “Options Compensation” and together with the Cash Compensation,
the “Placement Agent Compensation”). Such options shall be granted at each
Closing at an exercise price per share equal to the price of the shares paid by the investors
in the Offering. Such Option Compensation shall provide, among other things that the
options shall:

1.
expire five (5) years from the date of issuance; and

2. provide
for “cashless” exercise; and

3.
such other terms as are normal and customary for warrants issued to placement agents, including the same registration rights and
other rights received by the investors in the Offering.

17

There
is no guarantee that we will be able to raise any capital through any type of offerings. We cannot assure that we will be successful
in obtaining additional financing necessary to implement our business plan. We have not received any commitment or expression
of interest from any financing source that has given us any assurance that we will obtain the amount of additional financing in
the future that we currently anticipate. For these and other reasons, we are not able to assure that we will obtain any additional
financing or, if we are successful, that we can obtain any such financing on terms that may be reasonable in light of our current
circumstances.

During
the quarter ended September 30, 2018 Zander raised $800,000 by the sale of securities for cash.

As
of January 17, 2019 we are not party to any binding agreements which would commit us to any material capital expenditures.

Item
3. Quantitative and Qualitative Disclosures About Market Risk

As
a smaller reporting company, as defined by Rule 229.10(f) (1) of Regulation S-K, we are not required to provide the information
required by this Item. We have chosen to disclose, however, that we have not engaged in any transactions, issued or bought any
financial instruments or entered into any contracts that are required to be disclosed in response to this item.

Item
4. Controls and Procedures.

Evaluation
of Disclosure Controls and Procedures

As
of the end of the period covered by this report, the Company carried out an evaluation, under the supervision and with the participation
of David Koos, who is the Company’s Principal Executive Officer and Todd S. Caven who is the Company’s Chief Financial
Officer and Principal Financial Officer, of the effectiveness of the design and operation of the Company’s disclosure controls
and procedures. The Company’s disclosure controls and procedures are designed to provide a reasonable level of assurance
of achieving the Company’s disclosure control objectives. The Company’s Principal Executive Officer and Principal
Financial Officer have concluded that the Company’s disclosure controls and procedures are, in fact, effective at this reasonable
assurance level as of the period covered.

Changes
in Internal Controls over Financial Reporting

In
connection with the evaluation of the Company’s internal controls during the period commencing on October 1, 2018 and ending
on December 31, 2018, David Koos and Todd S. Caven , who serve as the Company’s Principal Executive Officer and Principal
Financial Officer respectively, have determined that there were no changes to the Company’s internal controls over financial
reporting that have been materially affected, or is reasonably likely to materially effect, the Company’s internal controls
over financial reporting.

PART
II - OTHER INFORMATION

Item
1. Legal Proceedings.

There
are no material pending legal proceedings to which the Company is a party or of which any of the Company’s property is the
subject.

Item
2. Unregistered Sales of Equity Securities and Use of Proceeds

There
were no unregistered sales of equity securities of the Company made by the Company during the quarter ended December 31, 2018.

18

Item
3. DEFAULTS UPON SENIOR SECURITIES

None.

Item
4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None.

Item
5. OTHER INFORMATION

None.

Item
6. EXHIBITS

31.1

Certification
of Chief Executive Officer

31.2

Certification
of Acting Chief Financial Officer

10.1

License
Agreement Monash University

10.2

Sublease
BST Partners*

*

Incorporated
by Reference to Exhibit 10.1 of the Company’s Current Report on Form 8-K filed
on November 20, 2018

19

SIGNATURE

Pursuant
to the requirements of the Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf
of the Registrant and in the capacities indicated on January 17, 2019.

Zander
Therapeutics, Inc.

By:

/s/
David R. Koos

Name:

David
R. Koos

Title:

Principal
Executive Officer

Date:

January
22,2019

Pursuant
to the requirements of the Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf
of the Registrant and in the capacities indicated on January 17,2019.

Zander
Therapeutics, Inc.

By:

/s/
David R. Koos

Name:

David
R. Koos

Title:

Chairman,
Director

Date:

January
22,2019

Pursuant
to the requirements of the Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf
of the Registrant and in the capacities indicated on January 17,2019.

Zander
Therapeutics, Inc.

By:

/s/
Todd S. Caven

Name:

Todd
S. Caven

Title:

Principal
Financial Officer

Date:

January
22,2019

Pursuant
to the requirements of the Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf
of the Registrant and in the capacities indicated on January 17,2019.

Zander
Therapeutics, Inc.

By:

/s/
Todd S. Caven

Name:

Todd
S. Koos

Title:

Principal
Accounting Officer

Date:

January
22,2019

Pursuant
to the requirements of the Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf
of the Registrant and in the capacities indicated on January 17,2019.

Site Links

Based on public records. Inadvertent errors are possible. Getfilings.com does not guarantee the accuracy or timeliness of any information on this site. Use at your own risk.
This website is not associated with the SEC.